More than £2 million might be spent on building self-contained modular homes in Swindon to prevent the council from needing to house homeless families in bed-and-breakfast hotels and hostels.

And the proponents of the plan say it could save the council £326,000 a year from the emergency housing costs.

The plan will be put to Swindon Borough Council’s cabinet on Wednesday, November 15 by the member for housing Councillor Janine Howarth as part of a larger £17m affordable housing programme.

The councillors on the cabinet will be asked to authorise the purchase of the prefabricated modular units, at an estimated cost of between £85,000 and £130,000 per unit. A budget of up to £2.1m has been set aside.

Cllr Howarth said: “We are committed to addressing homelessness in Swindon and the proposed investment in modular, self-contained accommodation is a cost-effective solution that not only saves taxpayers money, but will provide better living conditions for those residents who require support and ensure we reduce our reliance on hotels and B&Bs.

“It forms an important part of our affordable housing programme, which aims to provide more homes for residents in Swindon who need them, aligning with our three missions to reduce inequality, build a better Swindon and achieve net zero.”

Last year in Swindon, more than 100 families were put up in hotel and temporary accommodation at a cost to council taxpayers of up to £1,700 a month per family.

The council will look at a number of empty sites which might be suitable as a host for the new homes.

Cabinet will also be asked to approve investing £13.8m in a further 43 homes at three sites across the borough.

These include building 19 units at a cost of £5.9m on the site of the former Whitbourne House care home in Park South, 10 units costing £3.5m on the site of a garage block in Wingfield Avenue in Penhill, and a further 14 units costing £4.4m on land next to Nationwide’s Oakfield development, off Marlowe Avenue.

Some of the money for the new houses will come from the government quango Homes England.

The proposed scheme at Whitbourne House would provide inter-generational homes along with properties for those aged 16 and over, single people, couples and families.

The Wingfield development would provide family accommodation.

The scheme at Oakfield would provide housing for people with disabilities.